G4S presents FY 2017 segmental results reflecting recent business disposals and closures, foreign exchange rates and other developments

6 March 2019

 G4S presents FY 2017 segmental results reflecting recent business disposals and closures, foreign exchange rates and other developments

Ahead of the announcement of its full year 2018 results on 12 March 2019, to aid comparison with the results of the prior period, a summary of the Group's results for 2017 based on alternative performance measures, reflecting businesses sold since the end of June 2018 and re-classification of onerous contracts, presented at average exchange rates for the year ended 31 December 2018 is set out below:

Reconciliations of the segmental and total Group results for 2017 as reported at H1 2018, to those that are expected to be reported in the 2018 full year results, together with a reconciliation to statutory measures are set out at the end of this announcement.

These presentational changes do not change the Group's audited prior period results.

For further enquiries, please contact:
Helen Parris                                         Director of Investor Relations            +44 (0) 208 7222125

Sophie McMillan                                  Head of Media                                     +44 (0) 759 5523483


                                                                                                               

Notes to Editors:
G4S is the leading global, integrated security company, specialising in the provision of security services and solutions to customers. Our mission is to create material, sustainable value for our customers and shareholders by being the supply partner of choice in all our markets.

G4S is quoted on the London Stock Exchange and has a secondary stock exchange listing in Copenhagen. G4S is active in around 90 countries and has around 540,000 employees. For more information on G4S, visit www.g4s.com.

Reconciliation of segmental results for the year ended 31 December 2017 under IFRS 15 to the latest organisation structure and foreign exchange rates

a) To present results on a consistent and comparable basis, the results from any businesses sold in either the current or prior periods are excluded from the underlying results in both the current and prior periods. These include the Youth Services businesses in North America, the children's homes business in the UK and Group businesses in Israel and Bulgaria in 2017 and the document storage business in Kenya and the Group's businesses in Hungary in H1 2018. Further businesses sold in H2 2018 included the Group's Cash Solutions businesses in the United Arab Emirates, Colombia and Saudi Arabia.

b) During H2 2018, performance of one of the Group's contracts previously reported within onerous contracts, with revenues of £41m in 2017, improved to the extent that it is expected to generate profits over the remainder of its term and was therefore re-classified to underlying results. In addition, two UK Care & Justice contracts with revenues of £29m in 2017, that were previously profitable and reported within underlying results became loss-making and were re-classified to onerous contracts.

c) As part of the disposal of the Colombia Cash business in H2 2018, a small number of contracts that were previously reported in the Cash Solutions division were transferred to the Colombia Secure Solutions business and integrated into their operations. Results from these contracts have been re-classified to be reported within the Americas region in the Secure Solutions division and prior year comparatives have been restated accordingly.

d) Adjusted PBITA is an Alternative Performance Measure as defined in page 35 of the 2017 Integrated Report and Accounts.

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